DIVOC Limited was formed on 1 January 2019, with a fully-subscribed stated capital of GH2,400,000 with the object of selling Samsung LED Flat screen TV Sets of a standard type. On 31 March 2019, an interest free loan of GH240,000 was raised.

On 1 January 2019, a warehouse with a thirty-year life and no residual value was purchased for GH300,000. On the same date 1,000 TV sets were purchased for GH2,000,000. During the year, 800 inventory units were sold at an average unit price of GH2,500. Expenses of GH100,000 were paid during the year. All transactions were for cash. Sales and expenses accrued evenly throughout the year. The loan remained unpaid as at 31 December 2019.

A general price index moved as follows:

1January2019 110

31 March2019120

31 December 2019143

Average for the year130

Required:

Prepare a statement of profit or loss for 2019 and a statement of financial position as at 31 December 2019, using both the historical cost accounting (HCA) model and the current purchasing power (CPP) accounting model.